SUI outperformed most coins and secured the top gainer spot for the week. Therefore, if this trend holds, it could challenge LTC’s market position, but how likely is that?
Sui (SUI) ended the week as the top gainer among the top 25 tokens, surging 49% to $1.62. The rise in SUI, currently in 21st place, has analysts speculating about its potential to replace Litecoin, which rose 8% to $68.49.
SUI is aiming for a March ATH of $2.09, and the possibility of overtaking Litecoin in the top 20 is increasing.
SUI is defying expectations, but there are pitfalls
Source: Coin Analyze
On the daily price chart, SUI has shown consistent green candlesticks and started bullishly from September. Notably, despite increased market volatility, SUI has risen more than 100% since then.
On the other hand, LTC bears blocked the breakout twice, preventing LTC from rising above $65,000. However, following the rally in Bitcoin, LTC bulls retested the $68,000 ceiling.
In summary, while LTC has proven to be more vulnerable to Bitcoin movements, SUI is thriving and SUI may hold greater future value for stakeholders. suggests.
However, the SUI surge during September was supported by high trading volumes, with the RSI spiking into overbought territory, suggesting accumulation. Similarly, CMF also surged above its previous resistance level. This growth rate is higher than the growth rate at which SUI reached its ATH.
Simply put, high investor interest in SUI coincided with Bitcoin’s return to the $64,000 range, making SUI a more attractive alternative.
If so, this raises questions about SUI’s long-term prospects and casts doubt on the theory that SUI will overtake LTC. So was the 49% jump just a temporary bump?
Chart suggests potential for accumulation
As mentioned earlier, SUI’s performance over the past week has secured its top gainer position. Surprisingly, this impressive spike was accompanied by an increase in SUI inflows to the exchange.
Source: Coin Glass
Simply put, this suggests that SUI is not completely immune to Bitcoin’s volatility. However, accumulation by holders helped prevent a pullback, as highlighted by the indicators above.
Although accumulation is a bullish sign, it can be detrimental to altcoins in the long run, as was seen in mid-March when SUI reached ATH coinciding with BTC’s own peak. This leads to many traders cashing out after securing profits.
In the aftermath, BTC plummeted, and SUI further plummeted to $1.06 in just two weeks. Since then, the bearish trend has continued and only gained momentum after more than 180 days.
If this trend repeats, SUI could be a few more days away from a solid retracement. However, if the bulls can sustain resistance at $1.70 before targeting ATH, the chances of SUI breaking above LTC will increase. Why?
Growth rate is important
LTC, the 20th largest coin by market cap, has been consolidating in the $60,000 to $70,000 range for over a month. On the other hand, SUI experienced a significant rise during this period.
Despite LTC’s high trading volume and low fees, no substantive results have been observed. In fact, trading volume has fallen from over $1 billion in April to $246 million at the time of writing. Additionally, the open interest in the US dollar was halved.
Source: Santiment
Conversely, SUI has seen a notable increase in both trading volume and OI, with OI reaching $500 million and trading volume approaching the $1 billion level.
AMBCrypto points out that while these metrics indicate growth, they are not reliable predictors of future profits. The focus is on how quickly SUI is gaining interest compared to LTC.
Read Sui (SUI) price prediction 2024-25
The results are clear. SUI rose above the market lows and captured the attention of holders, securing the top spot. Its growth rate is significantly higher than LTC.
Overall, if the bulls can maintain liquidity while targeting ATH and sustain the support at $1.70, SUI is likely to replace LTC as the 20th largest coin by market cap.
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